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Italian Mafia Running Libyan Migrant Operation(s)

Question is this: Is the Mafia trying to save Italy from the migrant crisis or could they be exploiting the crisis coming out of Libya?

A newly formed militia may be the reason why the number of migrants arriving in Italy from Libya has plummeted over the past month.

Sources told Reuters a “former mafia boss” is leading a group of several hundred policemen, army officials and civilians as part of a “very strong campaign” to stop boats taking off from Sabratha, an ancient city 45 miles west of Libya’s capital, Tripoli.

The number of arrivals in Italy has dropped by more than 50 per cent since mid-July in what is usually a surge period, when smugglers encourage Mediterranean crossings before winter approaches and the sea gets rougher.

Dawn

Since 2015, Sabratha has been the most regular departure point for migrants and refugees attempting to reach Europe.

Migrants coming from across Africa told The Independent they usually pay smugglers between $1,700 (£1,300) and $2,200 (£1,700) for the dangerous sea journey from Libya to Italy. However, many are captured by militias inside Libya, some of whom hold them hostage while demanding more money from their families.

A recent report by British charity Oxfam found that 84 percent of refugees and migrants who have come through Libya suffered inhuman or degrading treatment, extreme violence or torture there. Some 80 percent were regularly denied food and water, while 70 percent said they had been tied up.

A 2016 UN report documented sexual abuse, beatings, forced labour and malnutrition inside Libyan immigration detention centres. More here.

ISIS Accused of Beheading 11 in Libya as Jihadis’ Strength Grows in North Africa

At least 11 people have been beheaded in southern Libya following an attack apparently carried out by the Islamic State militant group (ISIS).

Nine fighters loyal to the Libyan National Army (LNA), the force aligned with Libya’s eastern government, and two civilians were executed following an assault on a checkpoint 300 miles south of the Libyan capital, Tripoli, in Jufra.

No group has claimed responsibility for the killings, but according to Agence France-Presse,  LNA spokesman Colonel Ahmed al-Mesmari, ISIS carried out the gruesome attack.

The onslaught against the LNA forces, under the command of Gaddafi-era General Khalifa Haftar, comes as Libyan military sources warn ISIS is regrouping following catastrophic defeats in December 2016.

Related: African migrants smuggled into Libya sold at ‘Modern-Day Slave Markets’

The Times of London reported there were now believed to be 1,000 ISIS fighters in Libya. While the number is a fraction of the 6,000 said to be present in the country when ISIS was in its ascendency in Libya in 2015, the militants are said to be expanding.

Forces loyal to Tripoli’s western government, which ousted ISIS from its stronghold of Sirte in December 2016, have said the jihadis are attempting to regroup to the southwest of the city, close to the scene of the beheadings.

“They are looking for a new haven in the central region, the number is increasing bit by bit by the hundreds,” a spokesman for the anti-ISIS forces said.

An armed motorcade belonging to ISIS drives along a road in Derna, in eastern Libya, October 3, 2014. ISIS is accused of beheading 11 prisoners in the desert south of Tripoli. Reuters

Following ISIS’ defeat in Sirte, the U.S. military said it killed more than 80 militant fighters in air strikes. Among those killed were said to be individuals plotting attacks in Europe.

In 2014, at the start of Libya’s civil war, widespread anarchy in Libya provided a breeding ground for ISIS and allowed the black market trade in guns, petrol and people to flourish in the North African nation.

Similar conditions now continue in Libya’s lawless south, where forces loyal to the eastern and western governments trade territory in sporadic fighting.

In June, the LNA seized key strategic positions in Jufra from opposing forces, the Benghazi Defense Brigades coalition. The group, some of whose forces have been aligned with Al-Qaeda in the past, includes a wide variety of Islamists with competing allegiances.

Chinese Operative(s) Working for N Korea in New York?

Primer:

Yesterday, this site published the FBI related story. If You Don’t Think the FBI is Busy, N Korea Investigation

Still, our State Department and White House appears to think that we can have honest dialogues with China regarding North Korea? Additionally, it was just reported a month ago that Beijing has a major spy network in the United States with up to 25,000 Chinese intelligence officers and 15,000 recruited agents.

Not feeling confident on this, are you? Perhaps some expulsions are in order…

Did Owner of Million-Dollar U.S. Home Help North Korea Evade Sanctions?

GREAT NECK, N.Y. — The five-bedroom house in New York’s Long Island suburbs — listed for nearly $1.3 million — boasts a southern exposure and proximity to a country club.

But here’s what’s more interesting: The seller, a Chinese national named Sun Sidong, has been linked by American security experts to a network of Chinese companies under Treasury sanctions for helping companies and individuals who support North Korea’s nuclear and ballistic missile programs.

According to Chinese corporate filings, Sun is the listed owner of Dandong Dongyuan Industrial Co., which has shared an email address with another Chinese company, Dandong Zhicheng Metallic Material Co., a coal exporter suspected of helping North Korea evade sanctions.

For the NBC video go here.

The coal company and “four related front companies” were targeted by a federal search warrant allowing prosecutors to secretly monitor their financial transactions at eight U.S. banks, seizing any funds stemming from illegal sanctions-busting, according to a May federal court ruling.

The ruling, by U.S. District Judge Beryl Howell of Washington, D.C., said the eight American financial institutions — Bank of America, Wells Fargo, BNY Mellon, Citibank, Deutsche Bank, HSBC, JP Morgan Chase, and Standard Chartered Bank — had already processed upwards of $700 million in prohibited transactions involving North Korea since 2009. The ruling does not allege any wrongdoing by any of the banks.

Image: The Great Neck, NY home purchased by Sun Sidong in December 2016.
The Great Neck, N.Y., home purchased by Sun Sidong in December 2016. Google Maps

On Tuesday, the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned Dandong Zhicheng Metallic Material Co. and its primary shareholder in response to “attempted evasion of U.S. sanctions.”

That shareholder, a Chinese businessman named Chi Yupeng, was also named in a civil complaint filed Tuesday by the Justice Department seeking a money laundering penalty against the firm, as well as the seizure of $4 million in funds allegedly laundered for North Korea’s ruling party. The complaint alleges that front companies controlled by Chi Yupeng comprise one of the largest financial facilitators for North Korea.

Chi Yupeng hung up on NBC News several times when asked for comment.

The Justice Department also moved to seize nearly $7 million from a Singapore firm over similar allegations, and Treasury levied sanctions against a number of other Chinese and Russian entities — 16 in total — it accused of helping North Korea evade sanctions.

WATCH: At China-North Korea Border, Business as Usual Despite Sanctions

The government’s investigation was supported by the Center for Advanced Defense Studies (C4ADS), a non-profit U.S. think tank, as part of a new get-tough approach to North Korean sanctions that began in the Obama administration and is accelerating under President Trump, current and former U.S. officials say.

Image: Chi Yupeng
Chi Yupeng is the majority owner of Dandong Zhicheng Metallic Material Co. A civil complaint filed by the Justice Department Tuesday alleges that companies he controls helped North Korea evade sanctions. Bohai University

While it’s widely assumed that North Korea has for years been subjected to punishing international pressure as it defied the world and advanced toward a nuclear missile capability, the sanctions against North Korea have been full of holes, experts say — far less restrictive, for example, than the measures that brought Iran to the nuclear bargaining table.

Sun’s Great Neck house is an example of how the alleged sanction-busting networks can stretch around the globe, even to the luxe suburbs of Long Island. “The fact that you have somebody who’s engaged in trade that is potentially not just sanctioned, but dangerous, and that individual then invests in real estate in the United States reflects that there are holes in the system,” NBC News National Security Analyst Juan Zarate said.

The North Korea sanctions targeted specific military technology, “but what you didn’t see until quite recently are these kind of broader sanctions to go after the North Korean economy as a whole,” said Peter Harrell, who was the deputy assistant secretary for counter threat finance and sanctions in the State Department from 2012 to 2014.

The Friendship Bridge crosses the Yalu River and connects Dandong, China with Sinuiju, North Korea. David Lom / NBC News

Nor was there an aggressive enforcement effort against banks and individuals doing business with Pyongyang. As a result, the North Korean economy has grown steadily over the last decade, analysts say. And while the country as a whole remains extremely poor, the elite live relatively well amid a building boom of gleaming skyscrapers in the capital.

“Until February of 2016, U.N. sanctions against North Korea were strong on paper but poorly enforced, and U.S. sanctions against North Korea were comparatively weak — weaker than our sanctions against Belarus and Zimbabwe,” said Joshua Stanton, a North Korea expert and former Army officer.

Now, that is changing — though it may be too late. North Korea tested a missile that many experts say could strike the U.S. mainland, and American intelligence officials say the country may be months away from being able to mount a nuclear warhead on such a missile.

Still, aided by new sanctions imposed in the past year, the Trump administration is moving to increase economic pressure on North Korea, by targeting the Chinese companies that have for years helped the North fund its military activities.

“Justice is stepping it up by going after the Chinese banks,” said Anthony Ruggiero, a senior fellow at the Foundation for Defense of Democracies, who served as the nonproliferation advisor to the U.S. delegation to the 2005 Six-Party Talks on North Korea.

In June, the U.S. Treasury Department designated China’s Bank of Dandong — based in a city on the North Korean border that serves as a center of trade between the two countries — to be a “primary money laundering concern.” It said the small bank “acts as a conduit for illicit North Korean financial activity.” Two Chinese individuals were also targeted in the government’s action.

Last September, the Justice Department charged Dandong-based businesswoman Ma Xiaohong with evading sanctions and laundering millions of dollars for North Korea. Ma has not made a court appearance and her whereabouts are unclear.

Sen. Cory Gardner, R-Colo., recently introduced a bill that would cut off entities that do business in North Korea, including the top ten Chinese importers of North Korean goods, from using the American financial system.

Image: This photo taken July 5, 2017 shows the Bank of Dandong, a Chinese bank accused of laundering money for North Korea.
This photo taken July 5, 2017 shows the Bank of Dandong, a Chinese bank accused of laundering money for North Korea. Kyodo

In August, the U.N. Security Council unanimously passed new sanctions meant to pressure Pyongyang’s export revenue. They crack down on North Korea’s primary exports — including iron, iron ore, coal, lead, lead ore and seafood — and target banks and joint ventures with foreign companies.

C4ADS, which focuses on international security, uses sophisticated software and business records to map links between companies involved with North Korea.

In June, the group published a report — titled “Risky Business” — naming Sun, who owns the Great Neck house, as part of a network that may be exporting technology that could be used in North Korea’s missile program.

Chinese business records cited by C4ADS show Sun owns 97 percent of Dandong Dongyuan Industrial Co. Ltd., a general-purpose trading firm whose businesses include the sale of automobiles, machinery, natural resources, and general household products, the report says. NBC News confirmed that the records show Sun as primary shareholder.

Related: North Korea Already Has a Devastating Weapon: Cyberattacks

Customs records indicate the firm has exported to three countries: North Korea, the Democratic Republic of the Congo, and the United States. From 2013 to 2016, the company sent $28 million worth of material to North Korea, the records show.

For example, Dandong Dongyuan Industrial Co. sent North Korea a shipment of radio navigational aid apparatus valued at nearly $800,000 in June 2016, the C4ADS report said. Experts at the James Martin Center for Nonproliferation Studies concluded that “this category might contain guidance devices for ballistic missiles.”

NBC News reviewed shipment data from Panjiva, which tracks global trade. It shows more than 60 shipments of items by Sun’s company to North Korea that fall into the category of “nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.” This broad category is set by the country of origin, in this case the Chinese government. Experts say dual-use items like these help the Kim regime evade sanctions that are explicitly designed to prevent its nuclear capability.

“The danger with the export of dual-use items is that they appear to be legitimate. These are things that could be used for normal purposes,” Zarate said. “You have parties that are willing to export what are really dangerous items to a regime that has been sanctioned, and trying to use the cloak of legitimate commerce in order to do that.”

Image: Parts for approximately 30,000 rocket-propelled grenades, manufactured in North Korea and seized in Egyptian waters, hidden under 2,300 tons of iron ore.
Parts for approximately 30,000 rocket-propelled grenades, manufactured in North Korea and seized in Egyptian waters, hidden under 2,300 tons of iron ore. UN Security Council Panel of Experts

C4ADS also links Sun to a ship carrying arms from North Korea to an unknown destination. In August 2016, a cargo vessel flying a Cambodian flag was intercepted by Egyptian authorities entering the Suez Canal with parts for 30,000 rocket-propelled grenades aboard. The grenade parts were hidden under 2,300 tons of iron ore, which is one of the newly banned mineral exports targeted by the U.N.’s recent sanctions program.

According to shipping records reviewed by NBC News, one of Sun Sidong’s companies owned the vessel from April 2012 until August 2014, when ownership was transferred to a company controlled by Sun Sihong, who according to C4ADS is Sun’s sister.

In 2015, Sun registered a New York-based company called Dongyuan Enterprise USA. On March 2, it received a shipment of “used furniture” from Dandong Dongyuan Industrial Co., Sun’s Chinese company. Originally shipped from Dandong, the cargo traveled to the U.S. from Busan, South Korea, according to its bill of lading.

The real estate agent who brokered the sale of the Great Neck home to Sun recalled that the family was expecting furniture to arrive from China.

An assembled rocket-propelled grenade intercepted in the Jie Shun shipment. The ship’s bill of lading misidentified the parts as pieces of an underwater pump. UN Security Council Panel of Exp

Sun, whose U.S. company operates out of a New York City address he does not own, bought the Great Neck property near the country club for $1.1 million in December 2016.

The house is already on the market again. Sun’s U.S. real estate broker told NBC News that’s because Sun “doesn’t want to do business here.”

One lesson of Sun’s activities is that targeting a small number of key actors could put a severe dent in North Korean’s effort to evade sanctions, according to David Johnson, the executive director of C4ADS.

“The networks that perpetrate sanctions evasion for North Korea are limited, centralized, and vulnerable,” Johnson said. “That is, we can touch them, there are very few pressure points, and we can make a major impact.”

Spain Terrorists Captured Killed, and Spain’s History

SUBIRATS, Spain (Reuters) – Spanish police on Monday shot dead an Islamist militant who killed 13 people with a van in Barcelona last week, ending a five-day manhunt for the perpetrator of Spain’s deadliest attack in over a decade.

Police said they tracked 22-year-old Younes Abouyaaqoub to a rural area near Barcelona and shot him after he held up what looked like an explosives belt and shouted “Allahu Akbar” (God is Greatest). The bomb squad used a robot to approach his body.

Photo

*** Meanwhile…

al Qaeda and the Spanish Taliban have real history in Spain where even some planning for the 9/11 attack also took place in addition to Hamburg, Germany. Further, a previously released Gitmo detainee has been arrested in 2014 in Spain. See more here.

Spain has a long history of militant Islam just as noted as the many arrests in 2015. Yet it appears these are intermittent events and they are causes for concern not only for Europe due to the Schengen agreement but the United States due to the visa waiver program.

Al-Andalus, which means, “to become green at the end of the summer” is referred to the territory occupied by the Muslim empire in Southern Spain, which refer to the cities of Almeria, Malaga, Cadiz, Huelva, Seville, Cordoba, Jaen and Granada.

For the Arab world, Spain, or at least the romanticized and nostalgic image of Al-Andalus, is still a concept to conjure with.[3] The great liberal Syrian writer Abdel Salam Al-Ujayli (ironically, from a prominent family in the ISIS stronghold of Raqqa) dealt with this theme in his evocative and sympathetic story “The Lanterns of Seville” (1954).[4] Much of the narrative is about an idealized past being lost and this as part of a larger decline. In this sense, the lament is as much or more about “the Muslims” than about Spain itself. This is a common theme. In 2014, the commander of Iran’s Islamic Revolutionary Guard Corps (IRGC), Qasim Suleimani, listed the decline of the Muslim world as beginning with the fall of Muslim Spain.[5]

Other echoes of Al-Andalus are more subtle or diplomatic. In 1997, the Saudi ruling family built a massive white mosque at the foot of the great cliff of Gibraltar (Gibraltar is named, of course, for the conqueror of Al-Andalus, Tariq Ibn Ziyad, and so Gibraltar is “Tariq’s Mountain”) in the British Overseas Territory of the same name. The December 22, 1997 account in Al-‘Alam Al-Islami, published by the Muslim World League and translated by MEMRI, is surprisingly straightforward. It is mostly a historical account of the struggle for supremacy of the site between the Muslims, the Spanish and later, the English, but noting that “the flag of Islam waved high in the Iberian Peninsula, for eight centuries of glory, culture, thought and science.” There is little or no whining, special pleading, or loaded language.

But much more common is the idea that the loss of Spain is an historic wrong that must be erased by violence. Salafi-jihadis from Osama bin Ladin to ISIS fighters in North Africa have frequently made this point. “Let the whole world know that we will never accept that the tragedy of Al-Andalus would be repeated,” was a sentence used by bin Ladin in October 2001 in a video message after the September 11 attacks.[6] In 2013, the Taliban called for reconquering Spain, accusing the infidel West of having “alienated Muslims from their glorious history.”[7] Urdu-speaking jihadis compared the loss of Kashmir to that of Al-Andalus.[8]

The official media arm of Al-Qaeda in the Islamic Maghreb (AQIM) official media arm is called Al-Andalus.[9] Launched in 2009, the name was intentionally chosen “because it is the Muslims’ lost paradise.” AQIM justified the name by quoting seminal jihadist activist and founder of Al-Qaeda, Dr. Abdullah Al-Azzam, as saying, “Jihad has been an individual obligation since 1492, when Granada fell to the infidels – the Christians – and is to this day. And jihad will remain an individual obligation until we restore every bit of land that was once Islamic to the lands of Islam and to the Muslims.”[10] In another dispatch from 2007, AQIM called Spain “the stolen land.”[11]

Read much more here of the excellent summary by MEMRI

More Details for The Pro-Russia, Pro Assange Crowd

Is Sean Hannity getting something wrong here with his support of Congressman Rohrabacher and Julian Assange? If Assange is on the right side of the debate, why has he been held up in the protection of the Ecuador Embassy in Britain? Assange is working diligently to get out of his isolation and wants a seat at the White House press pool….yet he is also a financial crook too.

The FBI warned Rep. Dana Rohrabacher, R-Calif., in 2012 that Russian spies were attempting to recruit him as an “agent of influence,” according to a new report.

Rohrabacher was made aware of Moscow’s attempts during a meeting with an FBI agent in a secure room at the Capitol. Rohrabacher was made aware of Moscow’s attempts during a meeting with an FBI agent in a secure room at the Capitol.

Law enforcement did not believe Rohrabacher was working with or paid by the Russians, but feared he was targeted, a former U.S. official told the New York Times.

The California Republican said the meeting with the agent focused on contact he had with a person of the Russian Foreign Ministry. “They were telling me he had something to do with some kind of Russian intelligence,” Rohrabacher said.

The GOP lawmaker said the FBI agent warned him that Russia “looked at me as someone who could be influenced.”

Reps. Mike Rogers, R-Mich., and C.A. Dutch Ruppersberger, D-Md., who both served on the House Intelligence Committee, were also at the meeting.

Rohrabacher has been a staunch defender of Russia for years, and House Majority Leader Kevin McCarthy, R-Calif., joked last year about Rohrabacher’s closeness to Moscow in a recording leaked to the Washington Post this week.

“There’s two people I think Putin pays: Rohrabacher and Trump,” McCarthy said. The majority leader said Wednesday he was making a joke.

The FBI is currently investigating ties between President Trump’s associates and Russia. Reporters have also documented previously undisclosed meetings between those with ties to Trump and Russians.

Rohrabacher, though, has defended Trump and tried to lessen the possibility that Russia meddled in the 2016 election.

“Did they try to influence our election? We have tried to influence their elections and everybody’s elections,” Rohrabacher told the Los Angeles Times in March. “The American people are being fed information that would lead them to believe that we need to be in a warlike stance when it comes to Russia.”

( a long but important read) Now for Mike Pompeo at CIA regarding Julian Assange and Wikileaks:

Director Pompeo Delivers Remarks at CSIS

Remarks as Prepared for Delivery by Central Intelligence Agency Director Mike Pompeo at the Center for Strategic and International Studies

April 13, 2017/ CIA


Good afternoon, it is a great pleasure to be here at the Center for Strategic and International Studies, home to some of the sharpest minds that Washington has to offer. I am honored to deliver my first public remarks as CIA Director at such a distinguished institution.

Let me start today by telling you a story.

He was a bright, well-educated young man. He was described as industrious, intelligent, and likeable, if inclined toward impulsiveness and impatience.

At some point, he became disillusioned with intelligence work and angry at his government. He left government and decided to devote himself to what he regarded as public advocacy—exposing the intelligence officers and operations he had sworn to keep secret.

He appealed to Agency employees to send him “leads, tips, suggestions.” He wrote in a widely circulated bulletin: “We are particularly anxious to receive, anonymously if you desire, copies of US diplomatic lists and US Embassy staff.”

That man was Philip Agee, one of the founding members of the magazine Counterspy, which in its first issue in 1973 called for the exposure of CIA undercover operatives overseas. In its September 1974 issue, Counterspy publicly identified Richard Welch as the CIA Chief of Station in Athens. Later, Richard’s home address and phone number were outed in the press in Greece.

In December 1975, Richard and his wife were returning home from a Christmas party in Athens. When he got out of his car to open the gate in front of his house, Richard Welch was assassinated by a Greek terrorist cell. At the time of his death, Richard was the highest-ranking CIA officer killed in the line of duty.

Richard led a rich and honorable life, one that is celebrated with a star on the Agency’s Memorial Wall. He is buried at Arlington National Cemetery and remains dearly remembered by his family and colleagues.

Meanwhile, Agee propped up his dwindling celebrity with an occasional stunt, including a Playboy interview. He eventually settled down as the privileged guest of an authoritarian regime—one that would have put him in front of a firing squad without a second thought had he betrayed their secrets as he betrayed ours.

Today, there are still plenty of Philip Agees in the world, and the harm they inflict on U.S. institutions and personnel is just as serious today as it was back then.

They don’t all come from the Intelligence Community, share the same background, or use precisely the same tactics as Agee, but they are certainly his soulmates.

Like him, they choose to see themselves in a romantic light—as heroes above the law, saviors of our free and open society. They cling to this fiction, even though their disclosures often inflict irreparable harm on both individuals and democratic governments, pleasing despots along the way.

The one thing they don’t share with Agee is the need for a publisher. All they require now is a smart phone and internet access. In today’s digital environment, they can disseminate stolen US secrets instantly around the globe to terrorists, dictators, hackers and anyone else seeking to do us harm.

* * * *

Our nation’s first line of defense against complicated and fast-moving threats like these is the US Intelligence Community. I feel deeply privileged—and still a bit amazed—that as CIA Director, I get to be a part of this great group of men and women. I’m the son of a machinist from Orange County, California. I had never been east of the Mississippi until college, spending most of my summers working on the family farm in Winfield, Kansas.

To be entrusted with leading the greatest intelligence organization in the world is something that I still can’t wrap my head around. And just as I did at West Point, I feel that I stand on the shoulders of giants, atop a long tradition of courage, ingenuity, and dedication.

After I was nominated for this post by President Trump, I talked with nearly every living former CIA Director. They spoke of the need to call things as you see them, and of the apolitical nature of the job. Above all, they spoke of their admiration and respect for our workforce. From what I’ve seen so far, they were spot on in their assessment.

* * * *

I am today surrounded by talented and committed patriots. These are men and women who signed up for a life of discretion and impact—for a career in service to their country.

These officers have sworn an oath to uphold the Constitution. They have signed secrecy agreements. They quietly go about their work and try not to get too worked up over the headlines, including the fanciful notion that they spy on their fellow citizens via microwave ovens. But they are not at liberty to stand up to these false narratives and explain our mission to the American people.

Fortunately, I am. In my first meeting with CIA’s workforce, I promised that I would serve them and the American people—both at home and abroad—with the same passion and vigor that I displayed as a tank platoon leader in the Army, a business owner in Kansas, and a Congressman representing my constituents back home.

That is the reason I chose to speak here today.

As a policy, we at CIA do not comment on the accuracy of purported intelligence documents posted online. In keeping with that policy, I will not specifically comment on the authenticity or provenance of recent disclosures.

But the false narratives that increasingly define our public discourse cannot be ignored. There are fictions out there that demean and distort the work and achievements of CIA and of the broader Intelligence Community. And in the absence of a vocal rebuttal, these voices—ones that proclaim treason to be public advocacy—gain a gravity they do not deserve.

It is time to call these voices out. The men and women of CIA deserve a real defense. And the American people deserve a clear explanation of what their Central Intelligence Agency does on their behalf.

* * * *

First and foremost, we are an intelligence organization that engages in foreign espionage. We steal secrets from foreign adversaries, hostile entities, and terrorist organizations. We analyze this intelligence so that our government can better understand the adversaries we face in a challenging and dangerous world.

And we make no apologies for doing so. It’s hard stuff and we go at it hard.

Because when it comes to overseas threats, CIA is aggressive in our pursuit of the information we need to help safeguard our country. We utilize the whole toolkit at our disposal, fully employing the authorities and capabilities that Congress, the courts, and the Executive Branch have deemed lawful and appropriate, and consistent with our American ideals.

We do these things because it’s our job. It’s what we signed up to do. And if we didn’t, we’d have a tough time justifying our budget to the American taxpayer.

One of the few heartening things to come out of the disclosures debate is the realization that much of America does understand the important role we play. As the CEO of a security research firm recently noted, CIA appears to be doing “exactly what we pay them to do—exploit specific targets with limited attacks to support our national interests.”

Our mission is simple in concept yet difficult in practice. We work to provide the best information possible to the President and his administration so that they can advance our national interests and protect our country.

It is a mission that CIA has carried out for years, quietly and effectively. Our accomplishments generally remain classified, but a few special ones are known to the world.

For example, CIA has been a crucial player in the global campaign against nuclear proliferation. We’ve helped unravel the nuclear smuggling network used by A.Q. Khan, assisted in exposing a covert nuclear facility in Syria, and gathered intelligence—with the help of our liaison partners—that persuaded Libya to abandon its nuclear program.

CIA has also been at the cutting edge of incredible technological innovation throughout our history. We led efforts to develop the U-2 aircraft and orbiting satellites—endeavors that allowed us to surveil activities in rival states that were otherwise closed to us.

We’ve pushed back the boundaries of the possible in ways that have benefitted both the security and welfare of the American public. For example, when we needed long-lasting power sources for certain operational missions, in the 1960s our scientists helped to develop the lithium-ion battery—technology that ultimately has powered pacemakers and cell phones alike. More recently, CIA investment in a technology venture in 2003 led to the development of what we know today as Google Earth.

My first few months on the job have only reaffirmed for me that this innovative spirit is very much alive and well at CIA.

* * * *

So I’d now like to make clear what CIA doesn’t do. We are a foreign intelligence agency. We focus on collecting information about foreign governments, foreign terrorist organizations, and the like—not Americans. A number of specific rules keep us centered on that mission and protect the privacy of our fellow Americans. To take just one important example, CIA is legally prohibited from spying on people through electronic surveillance in the United States. We’re not tapping anyone’s phone in Wichita.

I know there will always be skeptics. We need to build trust with them. But I also know firsthand, from what I saw as a member of a Congressional oversight committee and from what I see now as Director, that CIA takes its legal restrictions and responsibilities with the utmost seriousness. We have stringent regulations, an engaged and robust Office of the General Counsel, and an empowered and independent Office of Inspector General to make sure of that.

Moreover, regardless of what you see on the silver screen, we do not pursue covert action on a whim without approval or accountability. There is a comprehensive process that starts with the President and consists of many levels of legal and policy review and reexamination. Let me assure you: When it comes to covert action, there is oversight and accountability every step of the way.

I inherited an Agency that has a real appreciation for the law and for the Constitution. Despite fictional depictions meant to sell books or box-office tickets, we are not an untethered or rogue agency. So yes, while we have some truly awesome capabilities at our disposal, our officers do not operate in areas or against targets that are rightfully and legally off-limits to us.

At our core, we are an organization committed to uncovering the truth and getting it right. We devote ourselves to perfecting our tradecraft. We work hard to maintain truly global coverage, operating in austere, far-flung areas that demand both expeditionary capabilities and spirit. We spend hours upon hours collecting information, and poring over reports and data. We experiment and innovate so we can dominate our adversaries in both the physical and cyber realms.

And sure—we also admit to making mistakes. In fact, because CIA is accountable to the free and open society we help defend, the times in which we have failed to live up to the high standards our fellow citizens expect of us have been catalogued over the years, even by our own government. These mistakes are public, to an extent that I doubt any other nation could ever match. But it is always our intention—and duty—to get it right.

* * * *

And that is one of the many reasons why we at CIA find the celebration of entities like WikiLeaks to be both perplexing and deeply troubling. Because while we do our best to quietly collect information on those who pose very real threats to our country, individuals such as Julian Assange and Edward Snowden seek to use that information to make a name for themselves. As long as they make a splash, they care nothing about the lives they put at risk or the damage they cause to national security.

WikiLeaks walks like a hostile intelligence service and talks like a hostile intelligence service. It has encouraged its followers to find jobs at CIA in order to obtain intelligence. It directed Chelsea Manning in her theft of specific secret information. And it overwhelmingly focuses on the United States, while seeking support from anti-democratic countries and organizations.

It is time to call out WikiLeaks for what it really is – a non-state hostile intelligence service often abetted by state actors like Russia. In January of this year, our Intelligence Community determined that Russian military intelligence—the GRU—had used WikiLeaks to release data of US victims that the GRU had obtained through cyber operations against the Democratic National Committee. And the report also found that Russia’s primary propaganda outlet, RT, has actively collaborated with WikiLeaks.

Now, for those of you who read the editorial page of the Washington Post—and I have a feeling that many of you in this room do—yesterday you would have seen a piece of sophistry penned by Mr. Assange. You would have read a convoluted mass of words wherein Assange compared himself to Thomas Jefferson, Dwight Eisenhower, and the Pulitzer Prize-winning work of legitimate news organizations such as the New York Times and the Washington Post. One can only imagine the absurd comparisons that the original draft contained.

Assange claims to harbor an overwhelming admiration for both America and the idea of America. But I assure you that this man knows nothing of America and our ideals. He knows nothing of our third President, whose clarion call for life, liberty, and the pursuit of happiness continue to inspire us and the world. And he knows nothing of our 34th President, a hero from my very own Kansas, who helped to liberate Europe from fascists and guided America through the early years of the Cold War.

No, I am quite confident that had Assange been around in the 1930s and 40s and 50s, he would have found himself on the wrong side of history.

We know this because Assange and his ilk make common cause with dictators today. Yes, they try unsuccessfully to cloak themselves and their actions in the language of liberty and privacy; in reality, however, they champion nothing but their own celebrity. Their currency is clickbait; their moral compass, nonexistent. Their mission: personal self-aggrandizement through the destruction of Western values.

They do not care about the causes and people they claim to represent. If they did, they would focus instead on the autocratic regimes in this world that actually suppress free speech and dissent. Instead, they choose to exploit the legitimate secrets of democratic governments—which has, so far, proven to be a much safer approach than provoking a tyrant.

Clearly, these individuals are not especially burdened by conscience. We know this, for example, because Assange has been more than cavalier in disclosing the personal information of scores of innocent citizens around the globe. We know this because the damage they have done to the security and safety of the free world is tangible. And the examples are numerous.

When Snowden absconded to the comfortable clutches of Russian intelligence, his treachery directly harmed a wide range of US intelligence and military operations. Despite what he claims, he is no whistleblower. True whistleblowers use the well-established and discreet processes in place to voice grievances; they do not put American lives at risk.

In fact, a colleague of ours at NSA recently explained that more than a thousand foreign targets—people, groups, organizations—more than a thousand of them changed or tried to change how they communicated as a result of the Snowden disclosures. That number is staggering.

And the bottom line is that it became harder for us in the Intelligence Community to keep Americans safe. It became harder to monitor the communications of terrorist organizations that are bent on bringing bloodshed to our shores. Snowden’s disclosures helped these groups find ways to hide themselves in the crowded digital forest.

Even in those cases where we were able to regain our ability to collect, the damage was already done. We work in a business with budgetary and time constraints. The effort to earn back access that we previously possessed meant that we had less time to look for new threats.

As for Assange, his actions have attracted a devoted following among some of our most determined enemies. Following a recent WikiLeaks disclosure, an al Qa’ida in the Arabian Peninsula member posted a comment online thanking WikiLeaks for providing a means to fight America in a way that AQAP had not previously envisioned.

AQAP represents one of the most serious terrorist threats to our country and the world. It is a group that is devoted not only to bringing down civilian passenger planes, but our way of life as well. That Assange is the darling of terrorists is nothing short of reprehensible.

Have no doubt that the disclosures in recent years caused harm—great harm—to our nation’s security, and they will continue to do so over the long term. They threaten the trust we’ve developed with our foreign partners when trust is a crucial currency among allies. They risk damaging morale for the good officers of the Intelligence Community who take the high road every day. And I can’t stress enough how these disclosures have severely hindered our ability to keep all Americans safe.

No, Julian Assange and his kind are not the slightest bit interested in improving civil liberties or enhancing personal freedom. They have pretended that America’s First Amendment freedoms shield them from justice. They may have believed that, but they are wrong.

Assange is a narcissist who has created nothing of value. He relies on the dirty work of others to make himself famous. He is a fraud—a coward hiding behind a screen.

And in Kansas, we know something about false Wizards.

But I’m not the only one who knows what Assange really is. Even those who often benefit from Assange’s leaks have called him out for his overblown statements. The Intercept, which in the past has gleefully reported on unauthorized disclosures, accused WikiLeaks in late March of “stretching the facts” in its comments about CIA. In the same article, the Intercept added that the documents were “not worth the concern WikiLeaks generated by its public comments.”

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So we face a crucial question: What can we do about this? What can and should CIA, the United States, and our allies do about the unprecedented challenge posed by these hostile non-state intelligence agencies?

While there is no quick fix—no foolproof cure—there are steps that we can take to undercut the danger. First, it is high time we called out those who grant a platform to these leakers and so-called transparency activists. We know the danger that Assange and his not-so-merry band of brothers pose to democracies around the world. Ignorance or misplaced idealism is no longer an acceptable excuse for lionizing these demons.

Second, there are steps that we have to take at home—in fact, this is a process we’ve already started. We’ve got to strengthen our own systems; we’ve got to improve internal mechanisms that help us in our counterintelligence mission. All of us in the Intelligence Community had a wake-up call after Snowden’s treachery. Unfortunately, the threat has not abated.

I can’t go into great detail, but the steps we take can’t be static. Our approach to security has to be constantly evolving. We need to be as clever and innovative as the enemies we face. They won’t relent, and neither will we.

We can never truly eliminate the threat but we can mitigate and manage it. This relies on agility and on dynamic “defense in depth.” It depends on a fundamental change in how we address digital problems, understanding that best practices have to evolve in real time. It is a long-term project but the strides we have taken—particularly the rapid and tireless response of our Directorate of Digital Innovation—give us grounds for optimism.

Third, we have to recognize that we can no longer allow Assange and his colleagues the latitude to use free speech values against us. To give them the space to crush us with misappropriated secrets is a perversion of what our great Constitution stands for. It ends now.

And finally—and perhaps most importantly—we need to deepen the trust between the Intelligence Community and the citizens we strive to protect.

At CIA, I can assure you that we are committed to earning that trust every day. We know we can never take it for granted. We must continue to be as open as possible with the American people so that our society can reach informed judgments on striking the proper balance between individual privacy and national security.

As CIA Director, it is my sworn duty to uphold the Constitution and defend national security. And as somebody who practiced law, built businesses, and ran for public office to represent my neighbors and fellow citizens, I fully understand why nobody should have to blindly place their trust in government.

Granted, the intelligence arena can never be as transparent as other parts of government. Secrecy is essential to us because we have hardworking officers and foreign agents in harm’s way, doing dangerous work on behalf of our country.

But even if we can’t share everything with the people, we can share it with the President they elected and with the overseers they sent to Congress. Having served on the committee myself, I am a CIA Director who fully understands the imperative of oversight. Doing right by the American people is as important to me as carrying out our Agency’s mission. And I will hold our officers to the same standard.

But remember, these officers grew up loving this country and the ideals it represents. They are Americans just like you, devoted to their jobs, trying to do their best.

The men and women I work with at Langley are patriots, and I am honored to lead them. They have my trust. They have my faith. And as long as I’m lucky enough to have the best job in the world, I promise you that CIA will be tireless in our mission to keep our country safe and, yes, to get it right.

Thank you all very much.

EB-5 Abusers go to Jail, Need More of This

When money buys citizenship, the honor, pride and loyalty fades fast.

Sounded good in theory at the time back in 1990 perhaps, then of course abuse set in:

EB-5 Immigrant Investor Program

USCIS administers the EB-5 Program. Under this program, entrepreneurs (and their spouses and unmarried children under 21) are eligible to apply for a green card (permanent residence) if they:

  • Make the necessary investment in a commercial enterprise in the United States; and
  • Plan to create or preserve 10 permanent full-time jobs for qualified U.S. workers.

This program is known as EB-5 for the name of the employment-based fifth preference visa that participants receive.

Congress created the EB-5 Program in 1990 to stimulate the U.S. economy through job creation and capital investment by foreign investors. In 1992, Congress created the Immigrant Investor Program, also known as the Regional Center Program. This sets aside EB-5 visas for participants who invest in commercial enterprises associated with regional centers approved by USCIS based on proposals for promoting economic growth.

There was a time this top democrat said: “I don’t believe that America should be selling visas and eventually citizenship,” said Sen. Dianne Feinstein, a Democrat of California. China is the biggest applicant to the program and no one can produce how many jobs are actually created.

In 2015 for instance, a Chinese national was arrested after investigators found he had obtained an EB-5 visa using stolen money. A 2013 Homeland Security investigation found that an Iranian who was arrested and involved in the EB-5 program had ties to Iranian intelligence operatives, The Times reported.

There has not been a congressional hearing dedicated to EB-5 abuse for more than a year, go here to watch the last one. Shocking.

The 2017 budget, which will continue funding the U.S. government until October, includes the extension of the EB-5 visa program, as lawmakers slipped the extension of the program into the spending bill.

 

It’s About Time — Two EB-5 Fraudsters Are Sent to Jail

After years of writing about the numerous and substantial frauds in the EB-5 program, I now can report that two people are going to jail for immigrant investor program crimes.

Each of the cases involved more than $100 million in misused EB-5 investments, with the actual thefts involving more than $10 million each. The cases had nothing to do with each other, but both show how badly the EB-5 program is managed by the Department of Homeland Security, an agency whose skill set does not include regulating high finance.

The EB-5 program currently gives a family-sized set of green cards to alien investors who place half-million-dollar investments through a DHS-approved regional center. The program, which keeps getting renewed by Congress for short periods, is due to sunset again on September 30. But the middlemen who benefit from the program (including some of the president’s in-laws) are likely to secure the program’s renewal again without any of the reforms it needs so badly. I hope I am wrong about that.

Earlier this month, Lobsang Dargey, said to be a former Tibetan monk, was sentenced to four years in prison for his crimes as part of a plea agreement. In addition to prison, Dargey agreed, along with associated firm Path Othello LLC, to disgorge $18.4 million. In these cases the question of deportation is handled separately and years later.

Dargey talked scores of investors, mostly from China, into buying into his Seattle real estate ventures.

Earlier in the year a similar conman was sentenced to three years in jail for an even bigger swindle in Chicago. This one was so dramatic that it reached the cover of Fortune magazine, even before sentencing. The promoters said it would be the:

“World’s First Zero Carbon Platinum LEED-certified and 100% Allergen Free convention center and hotel complex.” Lest anyone doubt its global eco-import, the project’s developer was branding it as a “Kyoto Protocol Centre.” At a projected cost of $913 million, it was to include three connected towers — 14, 17, and 19 stories tall — containing five upscale hotels with 995 suites and rooms, four levels of convention space, a green roof with a spa and yoga studio, a miniature golf course, and a 1,720-car “automatic robotic” parking garage.

The man behind the scam, Anshoo Sethi, now in jail, had told his gullible investors (and the equally gullible U.S. government) that he was investing $177.5 million worth of real estate in the project. However, that investment consisted of a modest motel, occupying two-plus acres near Chicago’s O’Hare Airport, that had been purchased by Sethi’s family for $10 million, a fact that any of the investors — or any DHS employee — could have discovered in the city’s land records. But no one checked until years later.

One hopes that these sentences will discourage other would-be EB-5 fraudsters, but while there have been dozens of accounts of similar schemes (as shown on a CIS-created map), so far these are the first to have led to well-deserved prison sentences.